The Indian government is moving to rebuild coal inventories at thermal power plants by raising output from captive mines and increasing loading at select Coal India subsidiaries, as several plants hold critically low stocks due to seasonal production dips and stronger electricity consumption, local media reported on September 4.

Coal stocks at Indian power plants stood at 28.17 million tonnes on September 2, down 8.25% on the week, according to the latest data from the Central Electricity Authority. At the start of FY27, power plants held opening stocks of 59.3 million tonnes.

Meanwhile, 50 coal-fired power plants were still operating with critical stocks, compared with 45 plants a week ago, the data showed.

Coal producers, especially Northern Coalfields, Central Coalfields and South Eastern Coalfields, have been directed to increase loading volumes as part of the effort to reinforce supplies to the power sector. The decision follows a review meeting held on September 2 to assess coal stocks at power plants, people aware of the development said.

Coal India, the country's largest coal miner, reported total supplies of 322.90 million tonnes in the first five months of FY27, up 6.7% from a year ago, according to a company statement.

Yet power demand has grown at a faster pace, particularly against the backdrop of a weak monsoon, drawing down fuel stocks at power plants.

Power consumption growth has remained above 10% from May onward, driven by cooling needs, irrigation demand and economic activity amid a deficit monsoon. The second quarter typically sees a sequential decline in coal supplies and stocks.

The government is also holding regular coordination meetings involving the power, coal and railway ministries to align production, loading and transportation of coal.